Place branding-exploring knowledge and positioning choices across national boundaries: The case of an Italian superbrand wine

Purpose. This paper examines the joint effects of product-specific region-of-origin (ROO) and product-specific country-of-origin (COO) on willingness to pay a premium price for a wine label designated as a Superbrand by the Italian government: Chianti Classico. Design/Methodology/Approach. The paper introduces the concept of “ROO-COO distance”, defined as the importance attributed to a product-specific ROO as compared to its COO. In order to better understand whether the “ROO-COO distance” construct influences willingness to pay a premium price, the paper considers consumers’ cross-national differences and their knowledge, distinguishing among three types of knowledge: consumers’ subjective general product knowledge, consumers’ subjective country product knowledge and consumers’ regional product experience. Four hypotheses were tested focusing on Chianti Classico - a premium wine, as related to its region and country-of-origin (Tuscany, Italy). We employed a sample of 4,156 consumers originating from New World countries (Australia, USA and Canada) and Old World countries (Germany, UK, Sweden and Belgium). Findings. The findings confirm that a place-of-origin influence on price-related product evaluations is country-specific. Furthermore, the moderating role of consumers’ subjective product knowledge and consumers’ region-related product experiences differ across countries. The ROO-COO distance was found to positively affect only Old World consumers. It was established that respondents’ subjective country/product knowledge and consumers’ regional knowledge or product experiences positively moderate this relationship. Originality/Value. The paper links COO and ROO effects in a single framework and analyses it at the cross-national level, while also considering the moderating effect of consumer knowledge.